Cointree Crypto Market Update - April 7th 2021

Market update for traders

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Bitcoin fails to go higher, but is it a ticking time bomb? Welcome to this week’s market update and another week in the extremely eventful cryptocurrency market. Bitcoin (BTC) began last week touching the last highest price in Australian Dollars that we have ever seen at $78,744 AUD. As we have witnessed so much throughout this bull market, bitcoin has struggled beneath a key resistance zone, sitting just below another new all-time high (ATH). This set-up (price action) has remarkable similarities between the consolidation beneath the $26,000 ATH we saw late last year, and before we blasted higher to where we are today. At the back of the week, bitcoin lost some steam after failing to break above the $79,000 AUD level and has since declined into what appears to be a falling wedge on the low time frames. $75,000 AUD is now the key battleground for continuation or a breakdown.

Recapping Monday to Sunday last week in detail: The largest crypto by market cap busted up through the strong resistance at $75,000 and carried on all the way to the previous all time High at $78,744. Bulls would have salivated over being this close to the clear sky above the 80k level but it wasn’t to be. The $79,000 area was far too strong and bitcoin declined until it broke down with bears once again gaining the upper hand. It fell almost 6% into the 50EMA and was also held up by the $75,000 horizontal support level. While bitcoin recovered 5% as the week progressed, price action gradually shrunk into a smaller pocket between $77,500 and $75,000. The pattern emerging is a small descending wedge on the 6hr and the daily charts. We are now waiting for bitcoin to make a decision. In the week ahead, bitcoin looks ready to make a break for 80k, barring anything unforeseen in the traditional markets. The descending wedge below resistance is bullish and the comparison to the 20k breakout from last year gives bulls hope that this will end in a similar fashion. For bears, the equation is simple: push BTC below the 50 EMA and $75,000 AUD. This will likely trigger a fall into the high $60,000’s where bulls will be forced to respond. While BTC grinds mere percentage points away from a new all-time high, altcoins have seen a resurgence as bitcoin dominance continues to fall. For the major altcoins: Ripple (XRP) had a staggering run in the top 10 cryptos up 85% over 7-days, while Stellar Lumens, (XLM) had a powerful week, up 30%. Major cryptos such as Litecoin and BitcoinCash had huge weeks too, (LTC) up 22% and (BCH) up 26%. Honourable mention also to Tronix coin (TRX), up 88% over this period and follows an impressive run.

Read our full market update here.

Market update for beginners

Bitcoin fails to go higher, but is it a ticking time bomb? Welcome to this week’s market update and another week in the extremely eventful cryptocurrency market. Bitcoin (BTC) began last week touching the last highest price in Australian Dollars that we have ever seen at $78,744 AUD. As we have witnessed so much throughout this bull market, bitcoin has struggled beneath a key resistance, sitting just below a new all-time high (ATH). This price action has remarkable similarities with what we saw beneath the $26,000 area late last year, and right before we blasted higher to where we are today. At the back of the week, bitcoin lost some steam after failing to break above the $79,000 AUD level and has since declined. $75,000 AUD is now the level to watch.

Recapping Monday to Sunday last week in detail: The largest crypto by market cap busted up through the strong resistance at $75,000 and carried on all the way to the previous all-time high at $78,744. Buyers would have salivated over being this close to the clear sky above the 80k level but it wasn’t to be. The $79,000 area proved far too strong and bitcoin declined until it broke down. It fell almost 6% into a key moving average and was also held up by the $75,000 support level. While bitcoin recovered 5% as the week progressed, price gradually shrunk into a smaller pocket between $77,500 and $75,000. The pattern emerging signals that bitcoin is close to making a decision. In the week ahead, bitcoin looks ready to make a break for 80k, barring anything unforeseen in the traditional markets. The consolidation below resistance is bullish and the comparison to the 20k breakout from last year gives buyers hope that this will end in a similar fashion. For sellers, the equation is simple: push BTC below $75,000 AUD. This will likely trigger a fall into the high $60,000’s. While BTC grinds mere percentage points away from a new all-time high, altcoins have seen a resurgence as bitcoin dominance continues to fall. gains... For the major altcoins: Ripple (XRP) had a staggering run in the top 10 cryptos up 85% over 7-days, while Stellar Lumens, (XLM) had a powerful week, up 30%. Major cryptos such as Litecoin and BitcoinCash had huge weeks too, (LTC) up 22% and (BCH) up 26%. Honourable mention also to Tronix coin (TRX), up 88% over this period and follows an impressive run.

Read our full market update here.